What is Bitcoin Cash? HOW EXACTLY is it different to BTC?


Welcome to the daily exchange guys we’re talking about what is Bitcoin cash and everything to do with it. Bitcoin cash is a cryptocurrency based on but different to the world’s first cryptocurrency Bitcoin. Bitcoin cash was created due to a disagreement in the Bitcoin community which caused a factional split, leading to the creation of Bitcoin cash. Essentially one group wanted to make certain changes to the Bitcoin code whilst the others they didn’t want to do that. And as a result, the competing camps split off from Bitcoin and created a new cryptocurrency based on the Bitcoin code as Bitcoin cash. This new coin has some tweaks and changes of the original Bitcoin does not this process of creating a new cryptocurrency or blockchain by splitting off from another is called a hard fork? So the two separated that makes Bitcoin cash a fork of Bitcoin separate? Essentially it means that is based on the same code as Bitcoin however, it includes some changes juice, which is why it is the new coin I guess, and obviously a new blockchain these two blockchains now they run separately and they’ve got separate miners, the different coins and they don’t, they don’t cross over hard folks of the popular all popular coins like Bitcoin happen often but you know, you don’t hear about them because they really have much support and unfortunately, that they kind of quickly forgotten about. But Bitcoin caches in the hand is perhaps the most successful fork of Bitcoin. It is known for its fastest settlement times and low transaction fees which is where the cash part of it and that in the name I guess comes from now we’ll explain some more of the pros and cons of Bitcoin cash or it’s used and why people like to buy and trade it right after this. Okay, welcome back. Now we’re talking about folks now with Bitcoin cash, what is it and what is a what is what is a soft fork and things like that? Okay, so, before we begin any discussion about Bitcoin cash need to understand that this this fork idea. So there are two types of folks and blockchains soft fork and a hard fork, let’s start with the soft fork. So, folk is a a backwards compatible change to the underlying computer code or protocol, the powers the blockchain. So, that is, you know, old software can understand the new software right. So So, so the, it can still talk to each other. Remember that blockchains and the digital ledger on which most cryptocurrencies such as you know Bitcoin theorem, ripple XRP, sorry, a store, the blockchain obviously stored on the series of distributed nodes and service, right. So it’s it’s, it’s, it’s distributed like a ledger. Now, in a soft fork, old nodes will be able to read and understand the new software. So if something changes on that one, then the other people that are holding that with the nodes, they can still understand it, whoever nodes running with the new software will only talk to the other nodes running the same new software. So they need to upgrade they need to, they need to just, you know, upgrade to the next piece of software. This means that obviously, if enough nodes start running the new software, the blockchain, maintained by the old node will pass will obviously, you know, and eventually be phased out. Essentially, you get a soft transition to a new blockchain with new rules. So folks have fairly routine occurrences in crypto currency, and most users are unaware of them when they happen. So let’s talk about what is a hard fork. Now a hard fork is much more substantial software. It’s a completely different one. So the soft one is going to change but you know, they can still run the school, upgrade and talk to each other. It’s like when your phone upgrades the computer upgrades whereas a hard fork is much more different and requires permanent departure completely of the old version of the blockchain, right? So a fork happens, these blockchain in that blockchain won’t talk to each other, and how folks are not compatible. And the results basically in the creation of this new blockchain like Bitcoin cash, as you can imagine, hard folks are less common than soft folks because they require a lot of coordination and implementation and can cause issues in the process. They tend to be highly publicized in order for the distributed and centralized decentralized community to implement the changes that needs to needs to sort of, you know, take place was to happen. Hard folks occur for the number of you know, a different set of reasons. For example, a Hartford might be needed to implement new privacy features or change the way that the blockchain has, you know, has its consensus this so reaches consensus. In these cases, the hard folks are agreed upon ahead of time by overwhelming majority of the members in the community. And I said to be uncontentious, hot folks, right? So everyone’s on board with it. The community agrees to move over to you and support the new blockchain so the old one fades away slowly while you know I guess the new chain is created only one chain is taken forward in the future right so the new one forks off and that’s the one that goes all cryptocurrencies morphed into the new one and the only one I guess cryptocurrency is supported at the end and the full process continues on whereas contentious hard fork so when there’s a divided the community is is very different right? So in the continuous one that same coin continues on never ends Okay, the contentious one is different. A contentious hard fork occurs when the communities and evenly divided or they don’t agree on the implementation of the new software so some nodes are the network continues support the the old chain where and you know, it keeps chugging along like normal well the other nodes fork off and create a new chain this is what happened with Bitcoin cash, right? So you had Bitcoin and Bitcoin cash went off this way to blockchains and now created and two cryptocurrencies they’re two different ones and they’ve gone on so far that now they can’t they don’t talk to each other it doesn’t it doesn’t cross over the legacy chain which is Bitcoin and the fork chain is Bitcoin cash. Part of the reason odd folks like this are considered contentious is that they split up the mining community. This means there are a few Amman is available to secure each chain effectively weakening each chain into more one is can join the respective networks is generally considered a bad thing although no major security issues have resulted from the Bitcoin cash hog folk. Now what makes Bitcoin cash different to Bitcoin? So Bitcoin cash is bch and then you’ve got Bitcoin is BTS see what makes it different? So I guess, you know, and why did this community split up as an important question? Well, Bitcoin cash was led predominately by a group of business people such as Roger VG han Whoo, Craig right. We wanted to increase the block size of Bitcoin and it’s blockchain. Increasing the block size allows more transactions to go into it right. So Bitcoin itself the the the original has a one megabyte and then this one wanted to increase Bitcoin cash forked off, they want to increase it to eight megabytes. So Bitcoin catches eight megs Bitcoin is one Meg. And that was at the time the folk since then Bitcoin cash is undergoing another hard fork, and it’s resulted in 32 megabyte blocks, as well as the creation of another cryptocurrency Bitcoin SV. If you’d like to know more about Bitcoin SV, check out the link in the description of this video. So we’re going to talk about that later. But what does increasing the block size do? Because important question. Now because Bitcoin is Bitcoin block is mined every 10 minutes increasing the block size allows for more transactions to each block. This effectively means that transactions will be processed faster and cost less. So when it boils down to it Bitcoin cache beaches faster and cheaper transactions than Bitcoin. Why did Bitcoin cash split from Bitcoin? So faster and cheaper? transactions? Sounds pretty good, right? Why wouldn’t you want to make that notorious, you know, make it make it faster? That’s what Bitcoin is. It could be, I guess, saying is the Bitcoin blockchain to be quite slow. And it has, you know, clogged up when there’s lots of transactions. And I guess this this is where it really comes down to it’s both politics and technology. Right? Why they split Bitcoin Core as a bit that’s the that’s the PTC community that supports the Bitcoin blockchain. And essentially, Cole felt that increasing the block size was only a temporary fix of Bitcoin scaling issue and could introduce our issues. For example, larger blocks require more storage and going from one Meg to eight megs means eight times increasing the storage capacity. Now because every node that verifies the Bitcoin blockchain needs to store a copy of the blockchain and all the blocks mind on it. There was concerned that given enough time, only well funded mining pools would be able to afford nodes large enough to store the blockchain, and in turn would centralize Bitcoin more. Another complaint from coal was increasing block sizes would only kick the can down the road that is, the solution would only be temporary. If the network continue to grow, then the block size would need to be increased again and again and again to keep keep up with demand. Instead, call argue that Bitcoin should look at other methods to scale such as, there’s something called seg wit and side chains such as lightning and liquid. And there’s been some recent news about that. To learn more about Bitcoin plans to scale check out our ultimate guide to Bitcoin in the description below. Now, who supports Bitcoin cash? So the next question is, if the community split, who still support it, Roger Ver is perhaps the most well known figure associated with Bitcoin cash, versus one of the earliest investors in cryptocurrency first purchasing Bitcoin in as early as 2011. He has invested in companies such as ripple, which issue the XRP coin, website blockchain dot info and the crypto currency exchange, cracking the currently runs the bitcoin.com exchange. So the actual website bitcoin.com bitcoin.org is the original Bitcoin website bitcoin.com is Bitcoin cash as well as powerful mining pool, which is the same name bitcoin.com at the same time publication, his bitcoin.com mining pool at Epicenter at the time of this publication. The Bitcoin mining pool has about 10% of Bitcoin cash mining in the past seven days according to coin dance daughter now now the influential supporter Bitcoin cash is G Han whoo the co founder of bitmap bit nine is the world’s largest manufacturer of cryptocurrency mining hardware right makes those assets the big powerful miners which which also owns they also you know, the miners protect Bitcoin at their their big, big, big deal, I guess in in protecting and ensuring the Bitcoin blockchain is safe. Now Bitcoin also owns powerful btc.com mining pool at the time of publication right now. btcsuite calm accounts for about 25% of Bitcoin cash mining and 19% of bitcoins money 25% of Bitcoin cash and 19% of all bitcoins money. Now when Bitcoin cash was created, Craig right was also another supporter of the cryptocurrency since then, he’s gone on to launch another cryptocurrency called Bitcoin SP which was fought hard forked from Bitcoin cash so we had Bitcoin, Bitcoin cash and then we had Bitcoin a space of its really it’s hard for so who accepts Bitcoin cash? Now obviously any cryptocurrency This is an important question, especially one that wants to serve as digital cash is where can you spend it? According to cryptocurrency publications EN in January 2019 Bitcoin cash was accepted directly by over 945 online retailers and about 670 brick and mortar stores. Then there are popular services just bit pay personal io alipay and shrivel up which allow you to pay for a wide variety of goods and services you know using Bitcoin cash you can actually use Bitcoin capital so a bit nine when you buying minus but that’s not to say that the retail is accept Bitcoin cash raw these these these intermediary services take Bitcoin cash from the customer and then converted into dollars immediately. So that’s an important consideration are all the famous case of this is the is the recent partnership between 18 teen bit pay which allows at&t customers to pay their bills using Bitcoin and Bitcoin cash while it’s not 18 t accepting directly the actual cryptocurrency it’s quite an exciting development for cryptocurrency adoption. So, how do you get Bitcoin cash? So, now you know understand how Bitcoin cash is and what it’s all about. You might have decided that you want to get some, there are a few ways to get your hands on some bch. The first you might want to, you know, you might already have some, if you own Bitcoin, I guess in the time of 2017 August 1, during the hard fork, you might already have some Bitcoin cash any Bitcoin holders you had a holdings you had at the time, anyone who was as well generated an equal amount of Bitcoin cash, as is you had as Bitcoin the same private keys associated with your Bitcoin wallet can be used to access equal holdings in Bitcoin cash. Now, if you went lucky to get some, some for free from the hard fork, then you can do what the rest of us have to do to purchase it from an exchange or a merchant, or broker. Almost all major exchange and retailers support between cash including Coinbase, binance, YB, coin spot and cracking. You can find more views of those exchanges in the description in the video below. And there you’ll also find some helpful step by step tutorials on how to buy bitcoin cash with fiat currency using exchanges like Coinbase and coin spot. The other way you can get a hold of Bitcoin cash, like many other cryptocurrencies, is by mining it. Bitcoin cash has a healthy mining community with profits to be made for those that want to put time to getting set up properly, and get paid in Bitcoin cash is also supported by most major mining pools, which means you can join a pool to increase your chances of earning a block and getting some Bitcoin cash as well. Bitcoin cash is a successful hot folk of Bitcoin, which brings speed and low cost to the Bitcoin protocol. It’s supported by some of the industry’s biggest plays, and can be used to pay for goods and services around the world. If you find this video helpful please make sure you give it a like and consider subscribing so that we know which videos to keep making more of as I mentioned before, there are tons of useful guides on the internet the description below go to find it out comm slash cryptocurrency check out all the cryptocurrency content there you’ll find our ultimate guide to Bitcoin cash exchange reviews as well as an in depth comparison between Bitcoin cash and Bitcoin. Thanks very much guys and do subscribe and do follow us that’s daily exchange and everything to do with Bitcoin cash. Yeah.

3 thoughts on “What is Bitcoin Cash? HOW EXACTLY is it different to BTC?”

  1. Good video. Blockstream is all about making money for their investors including (AXA group etc) by limiting the blocksize and making their own Lightning Network, Liquid Network to make profit from BTC
    #BCHForEveryone Watch this.
    https://www.youtube.com/watch?v=UYHFrf5ci_g

Leave a Reply

Your email address will not be published. Required fields are marked *